Flexi Fixed Deposits

A Flexi Fixed Deposit is a special kind of deposit scheme offered by banks in India and many countries in the world, which is a combination of demand deposit and a fixed deposit. The depositor is able to enjoy both the liquidity of savings and current accounts as well as the high returns of fixed deposits.

The scheme has two features which effectively combine the benefits of savings and current accounts and fixed deposits:

Hence effectively, this scheme is linking of savings and current account with a FD.

In many banks, this "linking" is free of cost.

Many banks do not allow customers to avail loans against amount in the FD component of Flexi Fixed Deposit.

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